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LivingSocial Spends $5M For Controlling Stake In Social Shopping Site JumpOnIt

Social commerce startup LivingSocial is expanding to Australia, acquiring a controlling stake in the existing leading social shopping site, Jump On It, rather than competing with them head-on. Ironically, it looks like the Jump On It is currently down.

The agreement involves an investment of $5 million by the Washington, DC-based Groupon rival, and Jump On It will fold into LivingSocial’s branded Daily Deals. Together with LivingSocial, Jump On It says it will now reach more than 1.2 million Australians via email and Facebook – where it has attracted over 550,000 ‘fans’ – every day.

This recent expansion means LivingSocial is now operational in most English-speaking countries, including Australia, the U.S., Canada, UK and Ireland.

LivingSocial says it currently boasts 10 million subscribers across more than 100 markets worldwide, earning them $1 million a day, and adds that they project to book more than $500 million in revenue in 2011.